A Clay County convenience store owner has pleaded guilty to cashing nearly $2 million in fraudulent federal tax refund checks through his business and a second man charged in the case is scheduled for a plea hearing Wednesday.

Antoun Arbaji, 36, faces 10 years in prison and must repay $1.9 million in restitution to the government, according to federal prosecutors. A sentencing date has not been set.

Co-defendant Abas Issa, 47, who in August was charged along with Arbaji with one count of conspiracy as well as six counts each of aggravated identity theft and theft of government property, is scheduled for a change of plea hearing.

According to the U.S Attorney’s Office, a Tampa source in 2011 began providing Issa with fraudulent tax refund checks and checks issued in anticipation of tax refunds.

Issa, who owned V&J Stores in Green Cove Springs, contacted individuals such as Arbaji, the owner of Fina Express a few blocks away, to cash the checks. In 2011 Arbaji cashed at least $1.5 million in refund checks and $400,000 in checks written in advance of refunds. The checks were issued as the result of fraudulent tax claims and used stolen identities, including many from dead people.

Arbaji collected a fee before giving the remainder to Issa, who also took a percentage. Issa then returned the remainder to the Tampa source, the government charged.

About $352,000 was seized from Arbaji’s bank account earlier in the case. The men were indicted by a federal grand jury.

They and three others also are charged with racketeering and organized dealing in stolen property in a state case that began as a Green Cove police investigation into purchases of stolen merchandise.